Wal-Mart’s Massmart Sales Growth Climbs on Higher Home Spending

July 10 (Bloomberg) -- Massmart Holdings Ltd., South
Africa’s biggest food and goods wholesaler, said sales growth
rallied during the first half of the year as consumers spent
more on building supplies amid a rise in the inflation rate.

The company, in which Bentonville, Arkansas-based Wal-Mart
Stores Inc. has a controlling stake, said comparable sales
climbed 7.1 percent in the 26 weeks through June 29, compared
with a 5.5 percent rise in the first half a year earlier.
Inflation for the period was estimated at 4.8 percent, the
Johannesburg-based company said in a statement. That compares
with inflation of 2.9 percent in the prior period.

South African retail-sales growth grew 1.8 percent in
April, accelerating from a revised 0.8 percent gain in March.
The country’s inflation in May climbed to 6.6 percent, exceeding
the central bank’s three percent to six percent target band for
a second month.

Massmart, which owns the cash and carry chain Makro and DIY
specialist Builders Warehouse, reversed a share price decline
after the release of the statement. The stock climbed 0.3
percent to 139.99 rand as of 4:20 p.m. in Johannesburg. More
than 458,000 shares traded, or 182 percent of the three-month
daily average. The company will release full financial results
for the period on Aug. 28.